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The 14 struggling Danish towns given a break from regulation

Deserted town centres and struggling businesses are common traits in 14 Danish towns which will now be exempted from a number of regulations to give them a better chance of revival.

The 14 struggling Danish towns given a break from regulation
Odder is one of 14 Danish towns to be given a break from the rules in a new regeneration pilot project. Photo:Henning Bagger/Ritzau Scanpix

The 14 towns will be “set free” from certain rules and regulations in a trial scheme aimed at reviving them after years of decline.

The launch of the scheme was announced by the Ministry of Ecclesiastical Affairs on Friday, and means that, for example, towns will be permitted to give extra subsidies to business owners who want to rent currently-empty town centre units.

They will also be allowed to cut down protected forest if it has taken the form of scrub and stops the town from feeling congruous; and to rent out empty commercial premises as housing in town centres.

The towns included in the trial are: Assens, Faaborg, Grindsted, Hornslet, Ikast, Nordborg, Nykøbing Sjælland, Odder, Otterup, Rødekro, Rønne, Sakskøbing, Støvring and Vamdrup, after their applications to the trial scheme were accepted.

A political agreement from 2021 paved the way for the new deregulation scheme the towns will hope to benefit from. The scheme is reported to cost the government 130 million kroner.

“I’m very much looking forward to seeing the result. I hope that this will be a part of what puts more life into the centre of medium-sized Danish towns,” the minister for rural districts Louise Schack Elholm said in a statement.

“This is a number of different initiatives, nine in total, that we are making as legal exemptions,” Elholm said.

Some 32 towns initially applied for the scheme.

“It’s incredibly good to see how many municipalities are interested in getting more life into their town centres. The plan was for 10 towns to be selected but there were so many good projects that we agreed on 14 towns,” she said.

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ENVIRONMENT

Sweden’s SSAB to build €4.5bn green steel plant in Luleå 

The Swedish steel giant SSAB has announced plans to build a new steel plant in Luleå for 52 billion kronor (€4.5 billion), with the new plant expected to produce 2.5 million tons of steel a year from 2028.

Sweden's SSAB to build €4.5bn green steel plant in Luleå 

“The transformation of Luleå is a major step on our journey to fossil-free steel production,” the company’s chief executive, Martin Lindqvist, said in a press release. “We will remove seven percent of Sweden’s carbon dioxide emissions, strengthen our competitiveness and secure jobs with the most cost-effective and sustainable sheet metal production in Europe.”

The new mini-mill, which is expected to start production at the end of 2028 and to hit full capacity in 2029, will include two electric arc furnaces, advanced secondary metallurgy, a direct strip rolling mill to produce SSABs specialty products, and a cold rolling complex to develop premium products for the transport industry.

It will be fed partly from hydrogen reduced iron ore produced at the HYBRIT joint venture in Gälliväre and partly with scrap steel. The company hopes to receive its environemntal permits by the end of 2024.

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The announcement comes just one week after SSAB revealed that it was seeking $500m in funding from the US government to develop a second HYBRIT manufacturing facility, using green hydrogen instead of fossil fuels to produce direct reduced iron and steel.

The company said it also hoped to expand capacity at SSAB’s steel mill in Montpelier, Iowa. 

The two new investment announcements strengthen the company’s claim to be the global pioneer in fossil-free steel.

It produced the world’s first sponge iron made with hydrogen instead of coke at its Hybrit pilot plant in Luleå in 2021. Gälliväre was chosen that same year as the site for the world’s first industrial scale plant using the technology. 

In 2023, SSAB announced it would transform its steel mill in Oxelösund to fossil-free production.

The company’s Raahe mill in Finland, which currently has new most advanced equipment, will be the last of the company’s big plants to shift away from blast furnaces. 

The steel industry currently produces 7 percent of the world’s carbon dioxide emissions, and shifting to hydrogen reduced steel and closing blast furnaces will reduce Sweden’s carbon emissions by 10 per cent and Finland’s by 7 per cent.

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